Building on your own plot
Already own the land? Fund the building.
A construction loan pays for building a house on a plot you already own. It works differently from a home loan in one important way — the money comes in stages as the building goes up, and you pay interest only on what has been released.
- Interest range p.a.
- [7%–10%] Interest range p.a.
- Of construction cost
- up to 90% Of construction cost
- Maximum tenure
- 30 years Maximum tenure
Why through JSR
What you get
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Money released in stages
Foundation, slab, brickwork, finishing — the bank releases each tranche after its engineer inspects the work.
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Interest only on what is drawn
Until the house is finished you pay interest on the amount released, not the full sanction.
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Your plot counts as margin
Land you already own is usually treated as your contribution, which reduces what you have to find in cash.
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We handle the inspections
Every tranche needs paperwork and a site visit. Chasing that is most of the work, and it is the part we do.
At a glance
Construction Loan details
- Loan amount
- Based on the approved cost estimateNot on what the finished house might be worth
- Funding
- Up to 90% of the construction estimateSame RBI slabs as a home loan — lower percentage above ₹30 lakh
- Tenure
- Up to 30 yearsSubject to your age at maturity
- Disbursement
- In stages, against completionTypically four to five tranches with an engineer's inspection before each
- Repayment during build
- Interest only, on the amount drawnFull EMI starts once the last tranche is released
- Processing fee
- [0.5%] of the sanctionVaries by lender; often negotiable
- Tax deduction
- Claimed after completionInterest paid during construction is claimed in five equal instalments from the year the house is finished — old regime only
Is this you?
Who this suits
- You own a residential plot with clear title and want to build on it
- The plot is within municipal or corporation limits, in an approved layout
- You have an approved building plan and a costed estimate from an engineer or architect
- You can meet the stage-wise timeline — banks release money against progress, not against promises
Documents
What you will need
About the plot and the build
- Sale deed and prior title chain for the plot
- Encumbrance certificate
- Approved building plan from the local authority
- Detailed cost estimate signed by an engineer or architect
- Latest property tax receipt for the plot
- Contractor agreement, where one is appointed
About you
- PAN, Aadhaar and photographs
- Salaried: 3 months' payslips, Form 16, 6 months' statements
- Self-employed: 3 years' ITR with computation, audited financials
- 6 to 12 months' bank statements
- Statements for any existing loans
We tell you which of these your lender actually wants before you gather anything.
Plan your EMI
What would it cost a month?
Move the sliders for an indicative EMI. Your actual rate depends on the lender, the property and your credit profile — this is a starting point, not a quotation.
EMI Calculator
Instant estimateYour monthly EMI
₹0
- Total interest
- ₹0
- Total payable
- ₹0
Indicative only. Your actual EMI depends on the lender, loan amount and credit profile.